ICYMI - Goldman Sachs says a US oil export ban would backfire, would further slow response

Author: Eamonn Sheridan | Category: News

Goldman Sachs has said both the release of oil from reserves and any ban of oil exports from the US are ineffective.

At present the US exports around 3m barrels of crude a day. If this export stopped domestic pipelines would be unable to reroute that crude to US refiners. The refiners do not have enough capacity to process it.

  • "This would leave excess U.S. crude supply quickly reaching tank tops and forcing shut-in production, with investment and production soon to enter significant declines" 

Cutting this source of supply to other markets would further push up prices of Brent. Which in turn would feed into higher prices for gasoline. 

Goldman Sachs has said both the release of oil from reserves and any ban of oil exports from the US are ineffective.




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